Heitech Padu BhdXKLS:5028 -2.33%63 Return-on-Tangible-Equity is 4.33% as of Mar. 2026, which is 13% below its 10-year median of 5.00. GuruFocus rates XKLS:5028 with a GF Score™ of 63/100 and a GF Value™ of RM3.30 (Possible Value Trap). The stock has 6 warning signs investors should review. Among 2,467 Software companies, Heitech Padu Bhd ranks worse than 52.57% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Heitech Padu Bhd's annualized net income for the quarter that ended in Mar. 2026 was RM9.8 Mil. Heitech Padu Bhd's average shareholder tangible equity for the quarter that ended in Mar. 2026 was RM226.2 Mil. Therefore, Heitech Padu Bhd's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 4.33%.
The historical rank and industry rank for Heitech Padu Bhd's Return-on-Tangible-Equity or its related term are showing as below:
XKLS:5028'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -24.1 Med: 5 Max: 10.7
Current: 7.51
During the past 13 years, Heitech Padu Bhd's highest Return-on-Tangible-Equity was 10.70%. The lowest was -24.10%. And the median was 5.00%.
XKLS:5028's Return-on-Tangible-Equity is ranked worse than 52.57% of 2467
companies
in the Software industry
Industry Median: 8.82
vs XKLS:5028: 7.51
Heitech Padu Bhd (XKLS:5028) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Heitech Padu Bhd Return-on-Tangible-Equity Related Terms
Heitech Padu Bhd Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Heitech Padu Bhd's Return-on-Tangible-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XKLS:5028 vs IBM, ACN, FISV: Return-on-Tangible-Equity Comparison
For the Information Technology Services subindustry, Heitech Padu Bhd's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Heitech Padu Bhd Return-on-Tangible-Equity vs Software Industry
For the Software industry and Technology sector, Heitech Padu Bhd's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Heitech Padu Bhd's Return-on-Tangible-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 4.33% mean?
Heitech Padu Bhd (XKLS:5028) has a Return-on-Tangible-Equity of 4.33% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Heitech Padu Bhd and its competitors. This is 13% below median its historical median of 5.00. According to the industry distribution chart, Heitech Padu Bhd ranks #1297 out of 2467 companies in the Software industry, placing it in the top 52.6%.
Is Heitech Padu Bhd's Return-on-Tangible-Equity too high?
Heitech Padu Bhd's current Return-on-Tangible-Equity of 4.33% is 13% below median its 10-year median of 5.00. The Software industry median Return-on-Tangible-Equity is 8.82. Heitech Padu Bhd's value of 4.33% is 50.9% below this industry median. Based on the distribution chart, Heitech Padu Bhd ranks #1297 out of 2467 companies in the Software industry, which is below the industry midpoint. Overall, Heitech Padu Bhd has a GF Score™ of 63/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Heitech Padu Bhd's Return-on-Tangible-Equity compare to IBM and ACN?
According to the Software industry distribution chart, Heitech Padu Bhd ranks #1297 out of 2467 companies for Return-on-Tangible-Equity. This places Heitech Padu Bhd in the lower half of its industry. The industry median Return-on-Tangible-Equity is 8.82. Heitech Padu Bhd's value of 4.33% is 50.9% below this benchmark. While the company's 10-year median is 5.00 vs. the industry median of 8.82, Heitech Padu Bhd has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for a Software company?
The median Return-on-Tangible-Equity among Software companies is 8.82, based on 2,467 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Heitech Padu Bhd's current Return-on-Tangible-Equity of 4.33% is 50.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Heitech Padu Bhd and its competitors. For the Software industry, the median Return-on-Tangible-Equity is 8.82 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Heitech Padu Bhd's current Return-on-Tangible-Equity is 4.33%, which is 13% below median its own 10-year median of 5.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Heitech Padu Bhd stock overvalued right now?
Based on GuruFocus' analysis, Heitech Padu Bhd (XKLS:5028) is currently considered Possible Value Trap. The stock's GF Value™ is RM3.30, compared to a current price of RM1.26 — trading 61.8% below its estimated fair value. The current Return-on-Tangible-Equity is 4.33%, which is 13% below median its 10-year median of 5.00 and 50.9% below the Software industry median of 8.82. Heitech Padu Bhd's overall GF Score™ is 63/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Heitech Padu Bhd (XKLS:5028), the current Return-on-Tangible-Equity is 4.33% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Heitech Padu Bhd (XKLS:5028) Overvalued in 2026?
Based on GuruFocus' analysis, Heitech Padu Bhd stock appears to be undervalued.
The current stock price of RM1.26 is trading 61.8% below its estimated GF Value™ of RM3.30.
GuruFocus considers Heitech Padu Bhd to be Possible Value Trap.
Key valuation signals for XKLS:5028:
Return-on-Tangible-Equity: 4.33% (13% below median its 10-year median of 5.00)
GF Value™: RM3.30 vs. price of RM1.26 (61.8% below fair value)
Industry Position: 50.9% below the Software median (#1297 of 2467)
No single metric tells the full story. See the XKLS:5028 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Heitech Padu Bhd provides systems integration, network-related services, data centre management, disaster recovery services, and other information technology-related services. Its reportable segments are Public Sector Group (PBG) and Private Sector Group (PSG). A majority of its revenue is generated from the Public Sector Group (PBG) segment, whose business offerings are mainly focusing on system integration, application development and infrastructure managed services for the Public Agencies Sector. Geographically, the company generates maximum revenue from Malaysia.
63GF Score
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